We are delighted to announce the listing and support of Enjin (ENJ) on Tap!

ENJ is now available for trading on the Tap mobile app. You can now Buy, Sell, Trade or hold ENJ for any of the other asset supported on the platform without any pair boundaries. Tap is pair agnostic, meaning you can trade any asset for any other asset without having to worries if a "trading pair" is available.

We believe supporting ENJ will provide value to our users. We are looking forward to continue supporting new crypto projects with the aim of providing access to financial power and freedom for all.

Playing an important role in the adoption of Web3, Enjin provides a platform of software products designed to allow anyone to harness the power of NFTs (non-fungible tokens) through the development, trade, monetization, and marketing of blockchain assets.

Powering the ecosystem is the Enjin Coin (ENJ), a token used to back the value of NFTs and other assets minted on the platform. When an asset is minted it locks ENJ tokens into a smart contract and effectively removes the tokens from circulation.

Enjin Coin (ENJ) is the native token of the Enjin ecosystem. Built on the Ethereum blockchain and compatible with multiple gaming platforms, the Enjin Coin is an ERC-20 token that allows the in-game items created on the platform to be traded with real-world value. The ENJ token has a maximum supply of 1 billion coins.

Get to know more about Enjin (ENJ) in our dedicated article here.

We are delighted to announce the listing and support of Chiliz (CHZ) on Tap!

CHZ is now available for trading on the Tap mobile app. You can now Buy, Sell, Trade or hold CHZ for any of the other asset supported on the platform without any pair boundaries. Tap is pair agnostic, meaning you can trade any asset for any other asset without having to worries if a "trading pair" is available.

We believe supporting CHZ will provide value to our users. We are looking forward to continue supporting new crypto projects with the aim of providing access to financial power and freedom for all.

Chiliz is a fintech company that uses blockchain technology to create new ways for fans to support and engage directly with their favorite sports teams. The company's goal is to be the leading provider of fintech solutions for sports and entertainment businesses around the world. Chiliz enables its users to trade tokens to show their support for professional sports teams.

Chiliz fans can buy their favorite team's Fan Tokens using the native Chiliz token " CHZ " on socios.com, the crowd management platform that Chiliz uses. Sports fans staking $CHZ on Socios.com also have opportunity to receive new Fan tokens as well as a up to 10% $CHZ bonus yield.

Despite radically changing the financial landscape, the world’s leading cryptocurrency has limitations when interacting with newer blockchains like Ethereum. Wrapped Bitcoin (WBTC) solves this by allowing Bitcoin to function on the Ethereum network, enabling access to decentralised finance (DeFi) services.

Each WBTC token is backed 1:1 by Bitcoin, combining Bitcoin’s value with Ethereum’s smart contract capabilities. Unlike Bitcoin variants aiming to improve its technology, WBTC extends Bitcoin’s utility without replacing it.

This article explores how WBTC works, its benefits, risks, and how it connects Bitcoin to the broader DeFi ecosystem.

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TLDR

- Bridging Bitcoin & Ethereum: WBTC brings Bitcoin to Ethereum, enabling DeFi participation without selling BTC.

- Increased utility & liquidity: BTC holders can lend, borrow, trade, and earn yield while unlocking Bitcoin’s market value.

- Faster & more efficient transactions: WBTC uses Ethereum’s network for quicker, cheaper, and more flexible transfers.

- Trade-offs & risks: While enhancing Bitcoin’s use, WBTC involves custodial risks, centralisation, and reliance on trusted entities.

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What is Wrapped Bitcoin (WBTC)?

Wrapped Bitcoin (WBTC) is an ERC-20 token that represents Bitcoin on the Ethereum blockchain. Launched in January 2019, approximately 10 years after Bitcoin's initial release, WBTC was created as a collaborative effort between BitGo, Kyber Network, and Ren (formerly Republic Protocol), along with other major players in the DeFi space including MakerDAO, Dharma, and Set Protocol. 

As an ERC-20 token, WBTC adheres to Ethereum's token standard, making it compatible with the entire Ethereum ecosystem, including its smart contracts, decentralised applications (dapps), and wallets.

In structure, WBTC bears similarities to stablecoins like USDC or USDT, which are backed by reserve assets. However, while stablecoins aim to maintain a stable value (usually pegged to a fiat currency like the US dollar), WBTC's value fluctuates with Bitcoin's market price. 

Each WBTC token is backed by an equivalent amount of Bitcoin (BTC) held in reserve by a custodian, maintaining a strict 1:1 ratio – meaning 1 WBTC is always equivalent to 1 BTC in value.

Wrapped Bitcoin is now under the control of a Decentralized Autonomous Organization (DAO) called the WBTC DAO. This organisation oversees the protocol, ensuring the integrity of the wrapping process and maintaining transparency in the system. Unlike Bitcoin's fully decentralised nature, WBTC relies on certain trusted entities to maintain the backing of the tokens, which creates an interesting balance between utility and trustlessness.

WBTC belongs to a broader category of financial instruments known as "wrapped tokens." These are cryptocurrencies that are enclosed or "wrapped" in a digital vault and represented as another token on a different blockchain. While WBTC represents Bitcoin on Ethereum, there are other wrapped tokens in the cryptocurrency space, including Wrapped Ether (WETH) which, somewhat paradoxically, is a wrapped version of Ethereum's native token on its own blockchain that conforms more strictly to the ERC-20 standard.

Why does Wrapped Bitcoin exist?

Wrapped Bitcoin (WBTC) was created to bridge the gap between Bitcoin and newer blockchain platforms like Ethereum.

1. Bitcoin’s limited smart contract functionality
Bitcoin prioritizes security over programmability, making it unsuitable for complex dapps. In contrast, Ethereum supports smart contracts that power a wide range of automated financial services.

2. Access to DeFi for Bitcoin holders
Ethereum’s DeFi ecosystem offers lending, trading, and yield farming, but Bitcoin holders couldn’t participate without converting their BTC. WBTC solves this, letting them use Bitcoin’s value within Ethereum-based applications.

3. Unlocking Bitcoin’s liquidity
Bitcoin’s vast market capitalization holds significant untapped liquidity. WBTC brings this capital into Ethereum’s DeFi network, benefiting both Bitcoin holders and the broader ecosystem.

4. Faster, more flexible Bitcoin transactions
While Bitcoin transactions can be slow and costly, WBTC uses Ethereum’s network for quicker, cheaper trades—ideal for active traders and DeFi users.

In short, WBTC enhances Bitcoin’s utility without altering its core protocol, connecting it to the evolving world of decentralized finance.

How Wrapped Bitcoin works

Wrapped Bitcoin (WBTC) bridges Bitcoin and Ethereum through a secure, transparent process involving key participants and smart contracts.

1. Wrapping and unwrapping process:

• Wrapping (BTC → WBTC): Users send Bitcoin to a custodian, who secures it and mints an equivalent amount of WBTC on Ethereum, sending it to the user’s Ethereum wallet.
• Unwrapping (WBTC → BTC): Users burn WBTC, prompting the custodian to release the equivalent Bitcoin back to their Bitcoin wallet.
  This 1:1 pegging ensures WBTC is fully backed by Bitcoin reserves.

2. Key participants:

• Custodians (e.g., BitGo): Hold and safeguard the Bitcoin backing WBTC.
• Merchants: Authorized to request minting or burning of WBTC.
• Users: Individuals or entities using WBTC in Ethereum’s DeFi ecosystem.
• WBTC DAO Members: Stakeholders who govern protocol decisions.

3. Transparency and verification:

• Proof of reserves: Publicly verifiable Bitcoin addresses back every WBTC in circulation.
• On-chain verification: Minting and burning are recorded on both blockchains.
• Regular attestations: Independent checks confirm reserve accuracy.

4. Technical implementation:
WBTC operates as an ERC-20 token, making it compatible with Ethereum-based apps and exchanges. While users can acquire WBTC directly through merchants, most opt to swap BTC for WBTC on decentralized exchanges (DEXs) for convenience.

This system ensures WBTC remains a secure, transparent, and efficient way to use Bitcoin within Ethereum’s DeFi space.

The benefits of Wrapped Bitcoin

1. DeFi accessibility:
WBTC lets users leverage Bitcoin in DeFi platforms for:

• Lending & borrowing: Use WBTC as collateral on platforms like Aave or Compound to earn interest or borrow assets.
• Yield farming: Provide WBTC liquidity for rewards, often surpassing Bitcoin’s passive holding returns.
• Liquidity provision: Earn trading fees by adding WBTC to pools on exchanges like Uniswap.
• Synthetic assets: Mint assets pegged to traditional markets using WBTC as collateral.

2. Enhanced liquidity:
WBTC boosts capital efficiency across Ethereum by:

• Expanding DeFi liquidity: Unlocking Bitcoin’s market value to strengthen liquidity pools.
• Reducing slippage: Deeper markets enable smoother trades.
• Providing stable collateral: Bitcoin-backed assets offer trusted options for DeFi protocols.

3. Transaction advantages:
Compared to Bitcoin, WBTC transactions on Ethereum benefit from:

• Faster confirmations: Ethereum’s ~12-second block times outpace Bitcoin’s 10-minute average.
• Predictable fees: Ethereum’s fee structure can be more cost-effective in certain conditions.
• Smart contract integration: WBTC supports complex transactions Bitcoin’s network can’t handle.

4. Broader utility:
Beyond DeFi, WBTC enhances user options by:

• Accessing smart contracts: Participate in advanced applications without selling Bitcoin.
• Composability: Use WBTC across multiple protocols simultaneously.
• Simplified management: Store WBTC alongside other Ethereum assets in common wallets.
• Gaming & NFTs: Spend WBTC in blockchain games or NFT marketplaces.

While WBTC offers significant opportunities, it comes with trade-offs regarding decentralisation and security, as covered in the next section.

Risks and challenges of Wrapped Bitcoin (WBTC)

Custodial risks
WBTC depends on custodians like BitGo to hold the backing Bitcoin, creating a central point of failure. Users must trust these custodians to safeguard funds, process redemptions, and comply with regulations that could freeze assets or restrict conversions.

Smart contract risks
WBTC relies on Ethereum smart contracts, which, despite audits, can still have vulnerabilities or coding flaws. It’s also affected by Ethereum network issues like congestion, high gas fees, and risks from interacting with DeFi platforms.

Price and market risks
WBTC tracks Bitcoin’s price and shares its volatility. In turbulent markets, it may trade slightly above or below Bitcoin’s value. Large conversions can strain liquidity, making big trades harder without impacting price.

Operational challenges
Managing WBTC involves both Bitcoin and Ethereum blockchains, which can be complex for newcomers. High Ethereum gas fees and slow WBTC-to-Bitcoin conversions (especially for large transactions) are additional hurdles.

Alternatives with less trust required
Some users prefer fully decentralised options like native Bitcoin, though it lacks smart contract functionality. Other wrapped Bitcoin solutions use different technologies to reduce reliance on custodians.

Other Wrapped Bitcoin alternatives

While WBTC is the most widely used Bitcoin representation on Ethereum, several alternatives have emerged, each with different approaches to the bridge between Bitcoin and other blockchains:

• renBTC
• tBTC
• sBTC (Synthetic BTC)
• HBTC
• pBTC

Conclusion

Wrapped Bitcoin represents a significant innovation in the cryptocurrency ecosystem, effectively bridging the gap between Bitcoin's unparalleled network security and store-of-value properties with Ethereum's programmability and vibrant DeFi landscape. 

Since its launch in 2019, WBTC has grown from a novel concept to a cornerstone of cross-chain interoperability, holding billions of dollars in value and enabling countless new use cases for Bitcoin holders.

Key takeaways

• Bridge between worlds: WBTC links Bitcoin with Ethereum’s smart contracts, offering value beyond what each can provide alone.
• Benefits with trade-offs: WBTC boosts DeFi access and speed, but involves centralisation and custodial risks.
• Evolving ecosystem: Wrapped Bitcoin solutions are evolving, balancing security, decentralisation, and functionality.
• Growing adoption: WBTC’s growing market cap and DeFi use show strong demand for Bitcoin exposure in crypto.
• Future innovation: Wrapped assets like WBTC will likely see improvements in decentralisation, security, and cross-chain compatibility.

The broader significance

WBTC represents a shift in the cryptocurrency space from isolated blockchains to an interconnected network where different chains can leverage each other’s strengths. This interoperability will likely define the next phase of blockchain development.

For users, WBTC allows exposure to Bitcoin while engaging with decentralised finance (DeFi) on Ethereum and other platforms, enabling participation in both without choosing between them.

For DeFi, Bitcoin’s liquidity has spurred growth, bringing stability and asset diversity. WBTC has also paved the way for other wrapped assets, making the crypto ecosystem more interconnected and efficient.

As blockchain technology evolves, solutions like WBTC will address limitations while retaining core utility. Its success shows how cryptocurrency innovation can extend existing strengths without replacing them.

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As we move into a more digital world with enhanced security systems, so too are hackers and fraudsters. With millions of dollars lost each year at the hands of these ill actors, in this article we take a look at the 5 most common crypto scams and how to spot them. The financial world need not be a scary place, with a few precautions in place you can bank on being able to avoid them.

What is a crypto scam?

A crypto scam is a type of investment fraud revolving around cryptocurrencies. According to a report by Chainalysis, a record-breaking $14 billion of crypto was stolen last year through crypto scams. While there are many different types of crypto scams, of which we'll explore 5 below, the common thread is that crypto is wrongfully taken from a user through fraudulent activities. 

The biggest crypto scam of recent times was in late 2020 when people hacked into the Twitter accounts of high profile individuals and claimed that should someone send Bitcoin or Ethereum to an address they will receive twice the value back. These accounts included the likes of Barack Obama, Elon Musk and Joe Biden. 

The top 5 most common crypto scams

While there are an infinite amount of crypto scams out there, below we are highlighting the 5 most common ones.

Fake crypto exchanges

These types of exchanges provide a buy/sell platform on which users can trade cryptocurrency, however, once they have deposited the funds they cannot withdraw any money. These funds might still appear on the platform although the money is long gone. 

Always read the reviews of a platform, and do your own research before depositing money anywhere. 

Ponzi schemes

Ponzi schemes might have started in the late 1800s but they're still here. The scheme works in such a way that each member earns rewards by recruiting new members, whose money is then used to pay off older members. This eventually reaches a saturation point after which it collapses. 

Always do your due diligence and ensure that the scheme you're investing in is solid. If it sounds too good to be true, it probably is.

Fake investment schemes

Be wary of an investment opportunity promising to deliver unbelievable gains. This might be in the form of depositing funds on a platform only to lose the money or struggle to withdraw it at a later stage. These are often circulated through well-known publications or on social media with celebrities "endorsing" the products. 

Pump and dumps also fall into this category. These schemes are created when a large group of people decide to invest in a coin, only to drive up the prices and cash out at the top. Many people are then left with a worthless coin at the end, having lost their investment. 

Imitating a crypto exchange

Similar to the concept of phishing, someone might create a social media account of a big exchange and contact the user "on behalf of the company". This is intended to gain your trust and is either done in an attempt to gain your passwords, or with a message that you owe large amounts in tax which needs to be paid in Bitcoin immediately to avoid imprisonment. 

Never follow links in an email, rather access the site from your own browser directly and be sure to check the URL. Successful scams of this nature often have a small typo in the URL which goes unnoticed. 

Malware & ransomware

The malware allows scammers to gain access to your computer, either locking you out of files or stealing credit card or crypto address details. With this information, they can drain your accounts in minutes. 

Ransomware works slightly differently in that the scammers lock the entire computer and demand a ransom to gain access again. This is often paired with blackmail where the victim, and in some cases organizations, are threatened that if they don't pay sensitive information will be released. A lot of victims in this situation manage to get out of it unharmed.

These might sound very scary, but should you maintain safe online protocols and check URLs before entering your details, they should be entirely avoided. 

5 tips on how to avoid crypto scams

These might sound obvious but it never hurts to read them again. Below are 5 tips on how to stay vigilant and avoid crypto scams entirely.

• Be wary of phone calls and emails claiming to be from exchanges and never click the links from them. 
• Never give your password, private key or security codes to anyone.
• Never give someone remote access to your device.
• Look out for social media accounts imitating legal firms or exchanges or a prominent person in the industry. Support will never contact you from a social media account.
• And lastly, if it sounds too good to be true - it probably is. 

Easily avoided, comfortably secure

We hope this information assists you in keeping your data and money secure online, proper security is always imperative when using payment methods or services on the internet. As technology evolves, so too must our security systems and vigilance. With these tips above you should be well on your way to spotting something that doesn't quite look right, and avoiding crypto scam.

There's a time-old debate over whether hodling or trading leads to better profits when it comes to buying into the cryptocurrency market. While both are great options, in the article below we look at the pros and cons of each option and weigh them up.

What is trading?‍

Trading refers to the buying and selling of financial instruments, assets, or commodities in financial markets with the aim of making a profit. Trading requires continuous monitoring of the charts and frequent study, whether in the crypto or stock market. Crypto trading involves buying and selling crypto at various intervals, whether minutes, hours, days, weeks, months, and years. Despite the greater risks involved, the potential for big percentage returns attracts individuals to trading.

If you want to trade crypto assets, it's essential to have a basic knowledge of the industry and how events in the news may influence Bitcoin's price. Remember to set stop losses and take profits so that you can protect your trade.

The pros of trading

• Potentially sizable profits

Crypto is known to be a volatile market and it's not uncommon to see price movements of 30% or above when crypto trading. With some strong analytical skills, one can observe, analyze and trade these waves and yield sizable profits.

• You're in control

Some people make a living trading part-time or full-time, particularly day trading. Day trading is where you enter and exit positions typically within a 24-hour period. Either way, you are in control of your own hours and workload, allowing you to take a break after you've met or exceeded your daily or weekly earnings targets.

The cons of trading

• Need to know trading fundamentals and technical analysis

Before you begin trading, you need to learn how to do fundamental and technical analysis of charts. This process requires dedicated effort and time investment.

• Need to be able to manage emotions

The prices of cryptocurrencies can change rapidly, making this a more risky proposition than long-term holding. You must be prepared to sell a losing cryptocurrency when it's plunging or decide to hodl for it to recover. Anything might happen in this fast-paced market, so you must make wise decisions without getting emotional.

What is hodling?

The term first came about in 2013 from a misspelled work in a BitcoinTalk Forum. The inebriated trader made the now infamous typo, and the word stuck. Almost a decade later, the term "hodl" remains a permanent fixture in the crypto ecosystem. Some have since branded it as "Hold On for Dear Life".

The term refers to holding a particular cryptocurrency for long periods of time, ignoring market volatility and knuckling through a bear market. As a passive strategy designed for long-term time frames, hodling requires a trader to simply buy a cryptocurrency and hold it in a secure place for months or even years until it reaches your price target.

You can buy Bitcoin or your favorite cryptocurrency at regular intervals if you're planning to HODL. This term is associated with buying a small amount of Bitcoins weekly or monthly. For example, let's say you have $1,000 to buy over time.

In this case, you might purchase $30 in Bitcoin each week or $50 worth every month. By staggering your buys like this rather than putting it all at once, you minimize the likelihood of price fluctuations having as much impact on the price per coin. This strategy prefers to buy Bitcoin over trade Bitcoin.

The upside to hodling

• Minimal effort

Hodling requires initial research into the cryptocurrency you wish to buy in (very important ans crucial to do your own research). From there establish your budget and strategy.

• Minimal stress

The crypto market is known for its significant swings in value. Thankfully with hodling there is no need to time the market for entry and exit positions or watch the chart all of the time.

• Minimal trading fees

Save money on trading fees by conducting on a few transactions, versus the many you will need to do when day trading. Some countries won't even charge tax on your crypto gains after a certain period of time (but be sure to check this in your area).

The downside of hodling

• Need patience

As hodling is a long-term strategy approach it requires patience and mental endurance. If you decide to use the Hodling strategy you'll need to manage emotions during tough market fluctuations and might need to wait years before being able to cash in on any ROI (return on investment).

• Funds are locked in

Because this is a long-term strategy, your funds would be inaccessible for an extended period of time. This might result in foregone opportunities to invest elsewhere in the crypto space or any other market.

However, this can be avoided by leaving your funds in a crypto interest account. Tap provides users access to yield-generating wallets that allow you to enjoy both the long-term price gains as well as the returns.

In Conclusion: hodling vs trading

If you're a novice cryptocurrency investor, proceed with caution. There is no right or wrong answer to which of these strategies is "superior" and you could always combine both methods to match your portfolio depending of your risk appetite. Always keep in mind that before making any decisions, always do your homework, research about the asset you wish to purchase and about diversifying your portfolio to reduce risk regardless of the strategy you pick.

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There are plenty of reports of investors making huge gains in the crypto market over the years, however, there are plenty more ones on people who have lost money. While investing is designed to increase your personal wealth, many investors are often intimidated by the digital currency market due to its volatility and age. In this piece, we're going to run you through the various ways of making money from cryptocurrencies without making a single trade. 

After the economies around the world were deeply affected by the Covid-19 pandemic, now is as good a time as any to regain control over your funds and use passive income opportunities as a tool to do so. Tap into the innovation available in the crypto space to pay off your mortgage, bond or leverage your pension and forget about fluctuating market prices.

Passive income 101

The least risky way in which to build your personal wealth is through passive income. Passive income involves generating money from investments that don't require any intervention. This includes activities such as earning dividends from stocks, automated sales through a business, monthly or annual rental from properties, etc. 

Another avenue of passive income is earning interest on money in the bank. In this case, the bank will pay you a predetermined percentage of the funds stored in that account. Thankfully, the crypto space has caught up and currently has a number of programs that are offering crypto holders the same benefits, albeit with far greater interest rates. While the regulation surrounding these programs is still being structured, many reliable and trustworthy platforms are offering programs worth taking advantage of.

How to earn passive income with crypto

Below we explore several smart ways in which you can earn a passive income with crypto, all designed to grow your capital. These options are outside of the decentralized finance (DeFi) space so as to avoid any potential problems or scams, rather stick to reliable platforms and networks as outlined below.

Staking

As the crypto space has evolved, many platforms have shifted from the original Proof of Work consensus mechanism to a Proof of Stake one. PoW involves miners competing to solve a complex cryptographic puzzle in order to validate transactions on the network and earn the block reward.

PoS models are less energy-intensive and instead require validators on the network to stake a certain amount of the native cryptocurrency in order to validate the transactions and earn the reward. Anyone can get involved thanks to the likes of PoS platforms like Cardano, Polkadot, and Ethereum 2.0.

Stakers can delegate crypto to a validator and earn a portion of the payouts when the validator completes the process. Requiring very little technical knowledge and minimal capital (each platform is different), staking provides an easy opportunity for a cryptocurrency holder to earn passive income. 

Stakes can also opt to be a validator, which requires a considerable amount of effort and technical information. With two options available when it comes to staking, one can either opt to be a validator or delegate coins to a validator. The former will require more capital and attention but yield higher returns, while the latter provides lower returns but ensures that the validators do all the work. 

Mining‍

On the other side of the coin, there is mining. Mining is native to PoW networks and involves confirming transactions for a reward. Networks vary in terms of what computer resources one might need, although cheap electricity is essential as these machines typically require large amounts of power. 

The world of mining has progressed in leaps and bounds since the early days of using CPUs to mine Bitcoin. Should one want to explore this path, we advise you do extensive research on the cost implications beforehand. 

Lending

A method favoured by long term investors looking to earn interest on their already accumulated crypto assets, lending involves borrowing the funds to a platform in return for interest. These funds are typically locked away for a certain period of time in exchange for interest payments later on. 

Peer-to-peer (P2P) lending platforms usually have a fixed or variable interest rate and will handle the logistics of the borrower and lender. These types of services are often found on platforms that offer margin trading. 

Make money without engaging in any trades, with no betting on the outcome of the market. Passive income from cryptocurrencies can be done simply by storing your already accumulated digital currencies in an income-generating account. Experiences on various platforms will vary, however, in most cases the customer will deposit their funds into a specific account and earn interest in the same currency. Check the platform's publication for guidance if you need any assistance.